Many people who already are homeowners or real estate investors are looking at the demographics and more and more they see opportunities with Texas real estate.
Related: Miami real estate: Developer Yair Levy is set to re-imagine Miami jewelry district
Texas right now has a robust real estate market. It’s a huge state in terms of size, with many great pockets to explore and invest into. Many people are moving there. And values are going up. According to Zillow, for example, in Dallas, home values have gone up 24.3 per cent over the past year. There’s no state income tax. The weather is beautiful. There are excellent job opportunities and that continues to change as more businesses re-locate there. They have top-notch schools – with ten of the top 100 high schools in the U.S. according to this ranking.
It’s populated by friendly people and the lifestyle is inviting. And home prices are still pretty low. Still, while many of us are active investors, looking at property investment opportunities at home and abroad, there are still precautions you need to take. You need to enlist the services of a licensed real estate agent, for one, someone who understands the market.
That person can help you narrow down a location and pricing so you potentially secure the best deal.
An intro to Texas City
An interesting area is Texas City, located on the southwest shoreline of Galveston Bay. Texas City originated in 1891 by a small group of hunters from Minnesota who viewed the city as a potential deep-water port. The Myers Brothers syndicate was born, and they bought around 10,000 acres of land that also comprised the small community of Shoal Point, which later got labeled Texas City.
According to Redfin, Texas City home prices in June were up 17.7 per cent year-over-year. It’s one of many example of interesting little pockets to explore if you’re looking at buying in the state of Texas.
Where is the cheapest place to live there?
Amarillo is one of the most populated cities in the state of Texas (14th most populous at just over 200,000). However, it also the cheapest city in Texas, with most things in the city graded lower than the national average. Median homes prices, average rent, daily food costs – all come in under the bar. Therefore, if you wish to relocate to a cheaper spot, or save up on a couple of dollars booking a place for a series of rainy days, then Amarillo is the place to target.
Is Texas a better deal than California?
That depends on how you define value. But there has certainly been a lot of chatter about people leaving California and its Liberal policies and migrating to Texas.
One way to get a clearer idea when comparing the two states is to look at real estate prices. According to Redfin, the median home price in California is $798,00 compared to $421,895 in Texas. You can certainly get a luxury home in a big city like Austin, and pay more, but compare what you get for your dollar compared to a home in Los Angeles in terms of space.
Besides those low tax rates, restrictions on building construction and access to materials are more relaxed. So the cost of living in Texas is what it is.
Texas real estate: Last thoughts
When navigating their way through listings concerning Texas Real Estate, potential homeowners should get in touch with a real estate agent who can help them with insights into the market. As we’ve written in the past, the rise in mortgage rates doesn’t impact the luxury buyer as much.
As Sotheby’s high-profile real estate agent Rizwan Malik told us, when it comes to property value luxury buyers don’t want to go out and spend quite as much as when the market was absolutely bonkers. They will say, with rates are going up, we understand the value of this home was $5 million at the peak of everything. But we will give you $4.5 million right now, because luxury buyers are for the most part cash buyers.
Creating an LLC has become one of the most popular business entities for acquiring real estate, so the LLC becomes the legal owner, rather than the individual. There are helpful websites on how to set an llc in texas out there so you can take that first step.
It’s understanding the market from a macro perspective. They are there rubbing elbows with the right types of people. People in the luxury bracket have financial advisors making recommendations to them, and investing in Texas might be one of those options.
Top image by Pixabay
I am a 50-something Torontonian who loves everything about my city. It’s been my home, my playground, for my entire life. I went to school here. I met my wife here. I own real estate here. I love writing about the transformation of my city on the world stage, which hasn’t been anything short of dramatic. That continues on, as I write this. I write on the real estate scene. I write on travel and fashion. I like following the world of luxury watches.
But I love writing about cars – check that, luxury cars, a level of superior, engineering sophistication, high performance and style, that transports you not just from one destination to another but also out of whatever you are going through on a particular day, whatever mood you are in, all to another head space. It’s complete and total exhilaration, head to toe.
Check out my stories, and email me direct at mkeast@regardingluxury.com
